Cryptofaunal nematodes, those living on the hard substrate of the coral reefs, are largely unknown in terms of diversity and assemblage structure. We described nematode assemblages at seven sites spanning about 200 km along Jardines de La Reina, a well-preserved reef system in the Greater Antilles. We identified about 3000 nematodes, mostly of the families Desmodoridae and Chromadoridae; the most abundant species were Croconema cinctum, Desmodora communis, and Euchromadora vulgaris. The regional richness was moderate with 70 observed species (0.95 confidence interval: 65–75 species) and 75 extrapolated species (0.95 CI: 68–83 species). This richness was lower than in other reef biotopes, maybe reflecting evolutionary constraints due to interactions with stony corals. The local expected richness at 100 individuals was similar among sites, with a median of 26 species (0.95 CI: 20–34 species), and likely caused by diversification rate and evolutionary time acting at the same pace on populations. The taxonomic β-diversity was high and without differences among sites (median: 0.85; 0.95 CI: 0.33–1), probably due to significant substrate heterogeneity at 10-cm scale. The prevalence of replacement over richness difference suggests that local processes (e.g., environmental filtering and competition) contribute more to β-diversity than niche availability, which would be largely similar across the reef terraces. Contrary to our expectations, no gradient of assemblage structure occurred, nor significant effect of benthic cover on nematodes. However, nematode functional structure showed a conservative set of biological traits reflecting adaptations to hydrodynamic regime: armed oral cavity/intermediate colonizing capability/ornamented cuticles/conical tail. Our results provide insights about the taxonomic and functional diversity of nematodes and highlight the vast knowledge gaps about the processes ruling the meiofauna community structure in coral reefs.